Five California Housing Markets Are among the 20 Most Overvalued Nationwide
According to data released by the economic research and forecasting firm Global Insight last week, five of the 20 top overvalued housing markets are in California. 63% of housing markets nationwide are overvalued, according to the data.
The five housing markets in California that fell in the top 20 were (along with cost of an average house in the third quarter of 2007):
- Madera ($291,600; overvaluation 62.3%)
- Merced ($248,300; overvaluation 56.6%)
- Riverside-San Bernardino ($329,600; overvaluation 44.6%)
- Bakersfield ($219,300; overvaluation 42%)
- Los Angeles ($512,900; overvaluation 42%)